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Opinion

Comment: Divergence and monetary policy

The issue of regional economic divergence continues to attract much attention from policymakers and academics studying the eurozone. The issue is particularly important for the ECB, as it is often mentioned that divergent economic performance across…

China's forex regime poses fresh puzzle

An article published on Tuesday 13 September says China's new rules for its currency regime could mean the country may be forced to battle the nearly $2 trillion-a-day global forex market to try to control the dollar, euro and yen exchange rates.

Comment: Managing Asian reserves

The accumulation of foreign-exchange reserves by Asian central banks is one of the most talked-about developments in international finance in recent years. Arguably, it is also one of the most misunderstood ones too - its causes and consequences being…

Uniform accounting rules face hurdles in Europe

This article published on Tuesday 13 September says that although the path to uniform and stricter global accounting rules is paved with good intentions, problems have arisen in Europe that could delay the adoption of parts of International Accounting…

The IMF must redefine its role to stay relevant

In a commentary published on Wednesday 14 September International Monetary Fund managing director Rodrigo de Rato said although globalisation has brought enormous benefits in growth and efficiency, cross-border financial crises have heightened the…

If the Fed stops pushing, might bond yields rise?

A recent article looks at the potential effect on the bond market if the Federal Reserve doesn't raise interest rates when it meets next week. The bond market could at last give us some of the higher longer- term interest rates that the Fed has been…

BOT soldiers guard the nation's finances

This article published on Monday 12 September looks at the Bank of Thailand's reserve management team. There's no longer concern about over-reacting if speculators come pounding at the barriers again, as they did in 1996-97, it says.

Comment: view from London

Today we turn to Andrew Smithers, the market analyst and economist, whose latest Market Update (September 14) provides a stimulating commentary on the markets - and food for thought for central bankers everywhere.

Euro area decision-making lacks synchronisation

This article published on Thursday 8 September by ECB Executive Board Member Lorenzo Bini Smaghi says Eurozone countries could boost the effectiveness of the currency union by unveiling their national budgets around the same date and by using the same…

China is under pressure to revalue yuan again

According to this article published on Tuesday 13 September, China's undervalued yuan is once again under scrutiny. The move by the PBOC has done little to make the currency trade more freely against the U.S. dollar, it says.

Comment: More autonomy for the PBOC?

The IMF board is plainly split on what attitude to adopt towards China's exchange rate policy but has come out usefully supporting moves to give the People's bank of China more discretion in setting interest rates.

Comment: Sarbanov should be supported

Ulan Sarbanov, governor of the National Bank of Kyrgyzstan, has been placed under house arrest. The accusation against him is that he abused his power during the rule of the deposed president Askar Akayev.

Fed may pause for political reasons

Following the devastation caused by Hurricane Katrina, the outcome of the Federal Reserve's next FOMC meeting is up for grabs, this article published on Tuesday 6 September suggests. The answer isn't just a question of policy, politics may be involved as…

Comment: Time for central banks to modernise

During the last 20 years, most central banks have been given much more policy autonomy and independence. Along with this have come pressures for more accountability and transparency. This is entirely appropriate as independence and accountability should…

Asia can fight speculators without its own IMF

The Indonesian authorities plan to seek $6 billion in standby funds from Japan to bolster the country's depleting foreign reserves has seen the Indonesian currency slump to a four-year low, this article published on Tuesday 6 September reports.

Comment: Smaghi calls for fiscal synchronisation

Writing in the Financial Times on September 8, Lorenzo Bini Smaghi, a member of the ECB's executive board, called on member states to improve the synchronisation of the their budgets in order to strengthen the economic governance of the Euro area.

U.K. interest rates are heading for a decline

The Bank of England's Monetary Policy Committee will decide on UK interest rates this Thursday. This article published on Wednesday 7 September suggests there will no surprise when the MPC leaves interest rates unchanged at 4.5 per cent, but rates are…

News from SIBOS banking conference

Jean-Michel Godeffroy, director general of payment systems at the European Central Bank, was at the centre of several key debates at the SIBOS conference in Copenhagen on Wednesday 7 September.

Why Indonesia must consider abolishing rupiah

This article published on 1 September asks what is the good of having a monetary authority when it can't protect the purchasing power of the currency it issues? The crisis of confidence surrounding Indonesia's rupiah is prompting some analysts to ask if…

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